{"id":163,"date":"2020-04-01T21:18:12","date_gmt":"2020-04-01T13:18:12","guid":{"rendered":"http:\/\/charltonsnaturalresources.com\/?page_id=163"},"modified":"2021-03-04T16:37:44","modified_gmt":"2021-03-04T08:37:44","slug":"advising-directors","status":"publish","type":"page","link":"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-directors\/","title":{"rendered":"Advising Directors"},"content":{"rendered":"[et_pb_section fb_built=&#8221;1&#8243; custom_padding_last_edited=&#8221;on|desktop&#8221; admin_label=&#8221;ContentWrapper2&#8243; module_id=&#8221; &#8221; module_class=&#8221;content-wrapper2&#8243; _builder_version=&#8221;4.0.5&#8243; background_color=&#8221;#ffffff&#8221; custom_padding=&#8221;0px||0px|||&#8221; custom_padding_tablet=&#8221;50px|0|50px|0&#8243; custom_padding_phone=&#8221;&#8221; transparent_background=&#8221;off&#8221; padding_mobile=&#8221;off&#8221; make_fullwidth=&#8221;off&#8221; use_custom_width=&#8221;off&#8221; width_unit=&#8221;on&#8221;][et_pb_row column_structure=&#8221;2_3,1_3&#8243; use_custom_gutter=&#8221;on&#8221; gutter_width=&#8221;1&#8243; _builder_version=&#8221;3.25.3&#8243; width=&#8221;100%&#8221; max_width=&#8221;100%&#8221; z_index_tablet=&#8221;500&#8243; box_shadow_horizontal_tablet=&#8221;0px&#8221; box_shadow_vertical_tablet=&#8221;0px&#8221; box_shadow_blur_tablet=&#8221;40px&#8221; box_shadow_spread_tablet=&#8221;0px&#8221;][et_pb_column type=&#8221;2_3&#8243; _builder_version=&#8221;3.0.47&#8243; custom_padding=&#8221;|||&#8221; custom_padding__hover=&#8221;|||&#8221;][et_pb_text admin_label=&#8221;Breadcrumbs&#8221; module_class=&#8221;breadcrumb-wrapper&#8221; _builder_version=&#8221;3.27.4&#8243;]<div class=\"breadcrumb\">\r\n<ul><li><a href=\"\/\">Home<\/a><\/li><li><a href='https:\/\/charltonsnaturalresources.com\/en\/listings\/' title='Listings'>Listings<\/a><\/li><li><span>Advising Directors<\/span><\/li><\/ul>\r\n<\/div>\r\n[\/et_pb_text][et_pb_text admin_label=&#8221;Section Title&#8221; _builder_version=&#8221;4.4.3&#8243; global_module=&#8221;229966&#8243;]<h2 class=\"section-title\">Listings<\/h2>\r\n[\/et_pb_text][et_pb_text admin_label=&#8221;Content MenuBar2&#8243; _builder_version=&#8221;4.4.3&#8243;]<div class=\"content-menubar2\">\r\n<div class=\"page-menu-panel2\">\r\n<h3>Listings<\/h3>\r\n<span class=\"hamburger2\"><\/span>\r\n<\/div>\r\n<ul class=\"cm-parent\"><li class=\"page_item page-item-157\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/likely-cost\/\">Likely Cost of Submission<\/a><\/li>\n<li class=\"page_item page-item-158 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/\">Advising on Requirements for Listing<\/a>\n<ul class='children'>\n\t<li class=\"page_item page-item-185\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/listing-key-requirements\/\">Key Requirements for Listing<\/a><\/li>\n\t<li class=\"page_item page-item-181\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/management-requirements\/\">Management Requirements for Mineral Companies<\/a><\/li>\n\t<li class=\"page_item page-item-182\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/reqirements-resources\/\">Requirements Relating To Resources and Reserves<\/a><\/li>\n\t<li class=\"page_item page-item-183\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/valuations\/\">Valuations<\/a><\/li>\n\t<li class=\"page_item page-item-184\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/requirements-control-assets\/\">Requirements Regarding Control Over Mining Assets<\/a><\/li>\n<\/ul>\n<\/li>\n<li class=\"page_item page-item-159\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/manage-process\/\">Managing the Process<\/a><\/li>\n<li class=\"page_item page-item-160\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/connected-transactions\/\">Connected Transactions<\/a><\/li>\n<li class=\"page_item page-item-161\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/management-requirements\/\">Management Requirements<\/a><\/li>\n<li class=\"page_item page-item-162\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/asset-spinoff\/\">Advising on Asset &#8220;Spin Offs&#8221;<\/a><\/li>\n<li class=\"page_item page-item-163\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-directors\/\">Advising Directors<\/a><\/li>\n<li class=\"page_item page-item-164\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/disclosure\/\">Director&#8217;s and Shareholders&#8217; Disclosure Obligations<\/a><\/li>\n<li class=\"page_item page-item-165\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-restructuring\/\">Advising on Restructuring and Holding Structures<\/a><\/li>\n<li class=\"page_item page-item-166\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/pre-ipo-suitability\/\">Pre-IPO Submission on Suitability for Listing<\/a><\/li>\n<li class=\"page_item page-item-167\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/publicity-requirements\/\">Publicity Requirements During Listing Process<\/a><\/li>\n<li class=\"page_item page-item-168 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/\">On-Going Announcement Requirements For Listed Companies<\/a>\n<ul class='children'>\n\t<li class=\"page_item page-item-191\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/chapter-18\/\">Chapter 18 \u2013 On-going Announcements<\/a><\/li>\n\t<li class=\"page_item page-item-192\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/notifiable-connected-and-other-transactions\/\">Notifiable, Connected and Other Transactions<\/a><\/li>\n\t<li class=\"page_item page-item-193\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/company-matters-corporate-governance-and-directors-and-officers\/\">Company Matters, Corporate Governance and Directors and Officers<\/a><\/li>\n\t<li class=\"page_item page-item-194\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/shares\/\">Shares<\/a><\/li>\n<\/ul>\n<\/li>\n<\/ul>\r\n<\/div>[\/et_pb_text][et_pb_text disabled_on=&#8221;off|off|off&#8221; admin_label=&#8221;Title&#8221; _builder_version=&#8221;4.4.2&#8243;]<h1 class=\"content-title\">Advising Directors<\/h1>[\/et_pb_text][et_pb_text admin_label=&#8221;Content&#8221; _builder_version=&#8221;4.9.0&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; hover_enabled=&#8221;0&#8243; sticky_enabled=&#8221;0&#8243;]<p>Charltons advises mineral company directors on their responsibilities derived from: \u2013<\/p>\r\n<ol>\r\n<li>The <a href=\"http:\/\/www.hkex.com.hk\/eng\/rulesreg\/listrules\/rulesandguidelines.htm\" target=\"_blank\" rel=\"noopener\">Hong Kong Stock Exchange Listing Rules<\/a> (HKEX Listing Rules), including the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/CHARLTONS_Code_on_Corporate_Governance_Practice.pdf\" target=\"_blank\" rel=\"noopener\">Code on Corporate Governance Practices<\/a> (Corporate Governance Code) and the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Model_Code_for_Securities_Transaction.pdf\" target=\"_blank\" rel=\"noopener\">Model Code for Securities Transactions by Directors of Listed Companies<\/a> contained therein and summarised here;<\/li>\r\n<li>Common law and applicable legislation, including the <a href=\"https:\/\/www.elegislation.gov.hk\/hk\/cap622\" target=\"_blank\" rel=\"noopener\">Companies Ordinance<\/a> and the <a href=\"https:\/\/www.elegislation.gov.hk\/hk\/cap571\" target=\"_blank\" rel=\"noopener\">Securities and Futures Ordinance<\/a> (SFO);<\/li>\r\n<li>The <a href=\"https:\/\/sfc.hk\/-\/media\/EN\/assets\/components\/codes\/files-current\/web\/codes\/the-codes-on-takeovers-and-mergers-and-share-buy-backs\/the-codes-on-takeovers-and-mergers-and-share-buy-backs.pdf\" target=\"_blank\" rel=\"noopener\">Code on Takeovers and Mergers and the Code on Share Repurchases<\/a>;<\/li>\r\n<li>The directors\u2019 Declaration and Undertaking to the Hong Kong Stock Exchange (HKEX); and<\/li>\r\n<li>The <a href=\"https:\/\/www.cr.gov.hk\/en\/companies_ordinance\/docs\/Guide_DirDuties-e.pdf\" target=\"_blank\" rel=\"noopener\">Companies Registry\u2019s Guide on Directors\u2019 Duties.<\/a><\/li>\r\n<\/ol>\r\n<p><strong>HKEX Listing rules<\/strong><\/p>\r\n<p>Pursuant to <a href=\"https:\/\/en-rules.hkex.com.hk\/rulebook\/chapter-3-authorised-representatives-directors-board-committees-and-company-secretary\" target=\"_blank\" rel=\"noopener\">Chapter 3 <\/a>of the HKEX Listing Rules the board of directors of an issuer is collectively responsible for its management and operations. The HKEX expects the directors, both collectively and individually, to fulfill fiduciary duties and duties of skill, care and diligence to a standard at least commensurate with the standard established by Hong Kong law. These fiduciary duties include the duty:<\/p>\r\n<ul>\r\n<li>to act honestly and in good faith in the interests of the company as a whole;<\/li>\r\n<li>to act for a proper purpose;<\/li>\r\n<li>to be answerable to the company for the application or misapplication of its assets;<\/li>\r\n<li>to avoid actual and potential conflicts of interest and duty;<\/li>\r\n<li>to disclose fully and fairly his interests in contracts with the listed issuer; and<\/li>\r\n<\/ul>\r\n<p>to apply such degree of skill, care and diligence as may reasonably be expected of a person with his knowledge and experience and acting as a director of a listed issuer<\/p>\r\n<p>The HKEX Listing Rules also require a director to take an active interest in the issuer\u2019s affairs, obtain a general understanding of its business and follow up anything untoward that comes to his\/her attention. Delegating these functions is permissible but does not absolve a director from his\/her responsibilities or from applying the required skill, care, and diligence.<\/p>\r\n<p>For more comprehensive information on Directors\u2019 responsibilities please refer to \u201c<a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Listing\/CHARLTONS_85427-v8_ResponsibilitiesOfMBDirectors.pdf\" target=\"_blank\" rel=\"noopener\">Responsibilities of Directors of Companies listed on the Main Board of the Stock Exchange of Hong Kong Limited<\/a>\u201d and \u201c<a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Responsibilities_Directors_Companies_listed_GEM.pdf\" target=\"_blank\" rel=\"noopener\">Responsibilities of Directors of Companies Listed on the Growth Enterprise Market of the Stock Exchange of Hong Kong Limited<\/a>\u201c.<\/p>\r\n<p>The duties and obligations of directors of listed companies are set out in the HKEX\u2019s \u201c<a href=\"http:\/\/www.hkex.com.hk\/eng\/exchange\/org\/boardirect\/documents\/handbook_website.pdf\" target=\"_blank\" rel=\"noopener\">Director\u2019s Handbook<\/a>\u201c.<\/p>\r\n<p><strong>Directors\u2019 Responsibility for Prospectus<\/strong><\/p>\r\n<p>Directors of a listing applicant have potential civil and criminal liabilities in connection with the issue of a prospectus, in particular in respect of untrue statements or the omission of material information. These liabilities arise under common law as well as specific Hong Kong ordinances, such as the <a href=\"https:\/\/www.elegislation.gov.hk\/hk\/cap32\" target=\"_blank\" rel=\"noopener\">Companies (Winding Up and Miscellaneous Provisions) Ordinance<\/a>, <a href=\"https:\/\/www.elegislation.gov.hk\/hk\/cap571\" target=\"_blank\" rel=\"noopener\">Securities and Future Ordinance<\/a> and <a href=\"https:\/\/www.elegislation.gov.hk\/hk\/cap284\" target=\"_blank\" rel=\"noopener\">Misrepresentation Ordinance<\/a>.<\/p>[\/et_pb_text][et_pb_text disabled_on=&#8221;off|off|off&#8221; admin_label=&#8221;SubM-Children&#8221; _builder_version=&#8221;4.4.3&#8243;]<div class=\"page-submenu\"> \r\n<ul><li class=\"page_item page-item-157\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/likely-cost\/\">Likely Cost of Submission<\/a><\/li>\n<li class=\"page_item page-item-158 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/\">Advising on Requirements for Listing<\/a><\/li>\n<li class=\"page_item page-item-159\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/manage-process\/\">Managing the Process<\/a><\/li>\n<li class=\"page_item page-item-160\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/connected-transactions\/\">Connected Transactions<\/a><\/li>\n<li class=\"page_item page-item-161\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/management-requirements\/\">Management Requirements<\/a><\/li>\n<li class=\"page_item page-item-162\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/asset-spinoff\/\">Advising on Asset &#8220;Spin Offs&#8221;<\/a><\/li>\n<li class=\"page_item page-item-163\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-directors\/\">Advising Directors<\/a><\/li>\n<li class=\"page_item page-item-164\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/disclosure\/\">Director&#8217;s and Shareholders&#8217; Disclosure Obligations<\/a><\/li>\n<li class=\"page_item page-item-165\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-restructuring\/\">Advising on Restructuring and Holding Structures<\/a><\/li>\n<li class=\"page_item page-item-166\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/pre-ipo-suitability\/\">Pre-IPO Submission on Suitability for Listing<\/a><\/li>\n<li class=\"page_item page-item-167\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/publicity-requirements\/\">Publicity Requirements During Listing Process<\/a><\/li>\n<li class=\"page_item page-item-168 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/\">On-Going Announcement Requirements For Listed Companies<\/a><\/li>\n<\/ul>\r\n<\/div> [\/et_pb_text][et_pb_text admin_label=&#8221;News Title&#8221; module_class=&#8221;content2-news-title&#8221; _builder_version=&#8221;4.4.3&#8243;]<h1 class=\"content-subtitle\">Read our latest News<\/h1>[\/et_pb_text][et_pb_blog fullwidth=&#8221;off&#8221; posts_number=&#8221;6&#8243; include_categories=&#8221;23&#8243; show_author=&#8221;off&#8221; show_categories=&#8221;off&#8221; show_excerpt=&#8221;off&#8221; show_pagination=&#8221;off&#8221; admin_label=&#8221;News Thumbs&#8221; module_class=&#8221;cu-blog&#8221; _builder_version=&#8221;4.4.2&#8243;][\/et_pb_blog][et_pb_text admin_label=&#8221;Click more news&#8221; _builder_version=&#8221;4.4.2&#8243;]<div class=\"bottom-click-more\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/news\/\">Click here to read more News<\/a><\/div>[\/et_pb_text][\/et_pb_column][et_pb_column type=&#8221;1_3&#8243; _builder_version=&#8221;3.25.3&#8243; custom_padding=&#8221;|||||false&#8221; custom_padding__hover=&#8221;|||&#8221;][et_pb_image src=&#8221;\/legal\/listing\/advising_directors.jpg&#8221; admin_label=&#8221;Side Hero&#8221; module_class=&#8221;side-hero-wrapper&#8221; _builder_version=&#8221;4.4.3&#8243;][\/et_pb_image][\/et_pb_column][\/et_pb_row][\/et_pb_section]","protected":false},"excerpt":{"rendered":"<p><ul><li><a href=\"\/\">Home<\/a><\/li><li><a href='https:\/\/charltonsnaturalresources.com\/en\/listings\/' title='Listings'>Listings<\/a><\/li><li><span>Advising Directors<\/span><\/li><\/ul> Listings Listings <ul class=\"cm-parent\"><li class=\"page_item page-item-157\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/likely-cost\/\">Likely Cost of Submission<\/a><\/li>\n<li class=\"page_item page-item-158 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/\">Advising on Requirements for Listing<\/a>\n<ul class='children'>\n\t<li class=\"page_item page-item-185\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/listing-key-requirements\/\">Key Requirements for Listing<\/a><\/li>\n\t<li class=\"page_item page-item-181\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/management-requirements\/\">Management Requirements for Mineral Companies<\/a><\/li>\n\t<li class=\"page_item page-item-182\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/reqirements-resources\/\">Requirements Relating To Resources and Reserves<\/a><\/li>\n\t<li class=\"page_item page-item-183\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/valuations\/\">Valuations<\/a><\/li>\n\t<li class=\"page_item page-item-184\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/exchange-prerequisites\/requirements-control-assets\/\">Requirements Regarding Control Over Mining Assets<\/a><\/li>\n<\/ul>\n<\/li>\n<li class=\"page_item page-item-159\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/manage-process\/\">Managing the Process<\/a><\/li>\n<li class=\"page_item page-item-160\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/connected-transactions\/\">Connected Transactions<\/a><\/li>\n<li class=\"page_item page-item-161\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/management-requirements\/\">Management Requirements<\/a><\/li>\n<li class=\"page_item page-item-162\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/asset-spinoff\/\">Advising on Asset &#8220;Spin Offs&#8221;<\/a><\/li>\n<li class=\"page_item page-item-163\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-directors\/\">Advising Directors<\/a><\/li>\n<li class=\"page_item page-item-164\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/disclosure\/\">Director&#8217;s and Shareholders&#8217; Disclosure Obligations<\/a><\/li>\n<li class=\"page_item page-item-165\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/advising-restructuring\/\">Advising on Restructuring and Holding Structures<\/a><\/li>\n<li class=\"page_item page-item-166\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/pre-ipo-suitability\/\">Pre-IPO Submission on Suitability for Listing<\/a><\/li>\n<li class=\"page_item page-item-167\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/publicity-requirements\/\">Publicity Requirements During Listing Process<\/a><\/li>\n<li class=\"page_item page-item-168 page_item_has_children\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/\">On-Going Announcement Requirements For Listed Companies<\/a>\n<ul class='children'>\n\t<li class=\"page_item page-item-191\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/chapter-18\/\">Chapter 18 \u2013 On-going Announcements<\/a><\/li>\n\t<li class=\"page_item page-item-192\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/notifiable-connected-and-other-transactions\/\">Notifiable, Connected and Other Transactions<\/a><\/li>\n\t<li class=\"page_item page-item-193\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/company-matters-corporate-governance-and-directors-and-officers\/\">Company Matters, Corporate Governance and Directors and Officers<\/a><\/li>\n\t<li class=\"page_item page-item-194\"><a href=\"https:\/\/charltonsnaturalresources.com\/en\/listings\/ongoing-announcements\/shares\/\">Shares<\/a><\/li>\n<\/ul>\n<\/li>\n<\/ul> Advising DirectorsCharltons advises mineral company directors on their responsibilities derived from: \u2013 The Hong Kong Stock Exchange Listing Rules (HKEX Listing Rules), including the Code on Corporate Governance Practices (Corporate Governance Code) and the Model Code for Securities Transactions by Directors of Listed Companies contained therein and summarised here; Common law and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":155,"menu_order":6,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"<!-- wp:paragraph -->\r\n<p>Charltons advises mineral company directors on their responsibilities derived from: -<\/p>\r\n<!-- \/wp:paragraph -->\r\n\r\n<!-- wp:list {\"ordered\":true} -->\r\n<ol><li>The <a href=\"http:\/\/www.hkex.com.hk\/eng\/rulesreg\/listrules\/rulesandguidelines.htm\" target=\"_blank\" rel=\"noreferrer noopener\">Hong Kong Stock Exchange Listing Rules<\/a> (\"Listing Rules\"), including the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/CHARLTONS_Code_on_Corporate_Governance_Practice.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Code on Corporate Governance Practices<\/a> (the \"Code\") and the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Model_Code_for_Securities_Transaction.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Model Code for Securities Transactions by Directors of Listed Companies<\/a> contained therein and summarised here;<\/li><li>Common law and applicable legislation, including the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/CAP_284_e_b5.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Companies Ordinance<\/a> and the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/cap_571_e_b5.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Securities and Futures Ordinance<\/a> (\"SFO\");<\/li><li>The <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/code_takeovers_%20mergers_share_repurchases.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Code on Takeovers and Mergers and the Code on Share Repurchases<\/a>;<\/li><li>The directors' Declaration and Undertaking to the Hong Kong Stock Exchange (\"Exchange\"); and<\/li><li>The <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/guide_directors_duties.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Companies Registry's Guide on Directors' Duties<\/a>.<\/li><\/ol>\r\n<!-- \/wp:list -->\r\n\r\n<!-- wp:heading -->\r\n<h2>Listing rules<\/h2>\r\n<!-- \/wp:heading -->\r\n\r\n<!-- wp:paragraph -->\r\n<p>Pursuant to <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Chapter_3_Listing_Rules.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Chapter 3<\/a> of the Listing Rules the board of directors of an issuer is collectively responsible for its management and operations. The Exchange expects the directors, both collectively and individually, to fulfill fiduciary duties and duties of skill, care and diligence to a standard at least commensurate with the standard established by Hong Kong law. These fiduciary duties include:<\/p>\r\n<!-- \/wp:paragraph -->\r\n\r\n<!-- wp:list -->\r\n<ul><li>The duty to act honestly and in good faith in the interests of the company as a whole<\/li><li>The duty to act for a proper purpose<\/li><li>The duty in relation to the assets of the listed issuer<\/li><li>The duty to avoid actual and potential conflicts of interest and duty<\/li><li>The duty to disclose fully and fairly his interests in contracts with the listed issuer<\/li><li>The duty to apply such degree of skill, care and diligence as may reasonably be expected of a person with his knowledge and experience and acting as a director of a listed issuer<\/li><\/ul>\r\n<!-- \/wp:list -->\r\n\r\n<!-- wp:paragraph -->\r\n<p>The Listing Rules also require a director to take an active interest in the issuer's affairs, obtain a general understanding of its business and follow up anything untoward that comes to his\/her attention. Delegating these functions is permissible but does not absolve a director from his\/her responsibilities or from applying the required skill, care, and diligence.<\/p>\r\n<!-- \/wp:paragraph -->\r\n\r\n<!-- wp:paragraph -->\r\n<p>For more comprehensive information on Directors' responsibilities please refer to \"<a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Listing\/CHARLTONS_85427-v8_ResponsibilitiesOfMBDirectors.pdf\">Responsibilities of Directors of Companies listed on the Main Board of the Stock Exchange of Hong Kong Limited<\/a>\" and \"<a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/Responsibilities_Directors_Companies_listed_GEM.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Responsibilities of Directors of Companies Listed on the Growth Enterprise Market of the Stock Exchange of Hong Kong Limited<\/a>\".<\/p>\r\n<!-- \/wp:paragraph -->\r\n\r\n<!-- wp:paragraph -->\r\n<p>The duties and obligations of directors of listed companies are set out in the Exchange's \"<a href=\"http:\/\/www.hkex.com.hk\/eng\/exchange\/org\/boardirect\/documents\/handbook_website.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Director's Handbook<\/a>\".<\/p>\r\n<!-- \/wp:paragraph -->\r\n\r\n<!-- wp:heading -->\r\n<h2>Directors' Responsibilty for Prospectus<\/h2>\r\n<!-- \/wp:heading -->\r\n\r\n<!-- wp:paragraph -->\r\n<p>Directors of a listing applicant have potential civil and criminal liabilities in connection with the issue of a prospectus, in particular in respect of untrue statements or the omission of material information. These liabilities arise under common law as well as specific Hong Kong ordinances, such as the <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/companies_ordinance.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Companies Ordinance<\/a>, <a href=\"https:\/\/charltonsnaturalresources.com\/images\/stories\/Documents\/securities_futures_ordinance.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Securities and Future Ordinance<\/a> and <a href=\"http:\/\/www.legislation.gov.hk\/blis_pdf.nsf\/6799165D2FEE3FA94825755E0033E532\/4416343778C1BF61482575EE00578C51\/$FILE\/CAP_284_e_b5.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Misrepresentation Ordinance<\/a>.<\/p>\r\n<!-- \/wp:paragraph -->","_et_gb_content_width":"","inline_featured_image":false,"footnotes":""},"categories":[29],"class_list":["post-163","page","type-page","status-publish","hentry","category-listings","cat-29-id"],"_links":{"self":[{"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/pages\/163","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/comments?post=163"}],"version-history":[{"count":14,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/pages\/163\/revisions"}],"predecessor-version":[{"id":232993,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/pages\/163\/revisions\/232993"}],"up":[{"embeddable":true,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/pages\/155"}],"wp:attachment":[{"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/media?parent=163"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/charltonsnaturalresources.com\/en\/wp-json\/wp\/v2\/categories?post=163"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}